The Dreaded Homeowners Insurance Bill has Arrived

[gsganzer]

Our property tax increased to about $2500/yr... For the home, 8 acres, 40x60 pole barn and one additional detached garage. Insurance runs about $1000/yr. Retiring at the end of the month, we looked very closely at our budget, and we can live well on $3000/mo. We can live on $2000/mo.

Our property tax is $8000/yr for 6.5 acres, 30 x 40 shop and a 30 x 30 pole barn.

Homeowners insurance is $4650/yr.

Auto, 4 vehicles which includes 2 drivers under 21: $13,400/yr

Health insurance (family of 4): $21,000/yr

I'm $4K/mo, before I've even put food on the table or gas in the tank.

 

[CloverKnollFarms]

Our property tax is $8000/yr for 6.5 acres, 30 x 40 shop and a 30 x 30 pole barn.

Homeowners insurance is $4650/yr.

Auto, 4 vehicles which includes 2 drivers under 21: $13,400/yr

Health insurance (family of 4): $21,000/yr

I'm $4K/mo, before I've even put food on the table or gas in the tank.

I feel really blessed. I have three vehicles, one driver under 21. He is 15 and is required to pay for his own gas and insurance. Very low cost of living area... Which is the only reason I can bug out at 47.

 

[Dftodd]

I feel really blessed. I have three vehicles, one driver under 21. He is 15 and is required to pay for his own gas and insurance. Very low cost of living area... Which is the only reason I can bug out at 47.

We pay $3300 a year for 2 vehicle full coverage, an inland marine policy to cover a trailer and zero turn mower, as well as a renters policy.

Another $1200 a year for the camper.

Insurance has gone up a bit in our area due to some tornadoes.

 

[gsganzer]

Which is the only reason I can bug out at 47.

I'm trying to figure out how to bug out at 58, but there will need to be some cost shedding.

 

[California]

Try Farmers, they will insure us, but nobody else will. Main reason is because we heat exclusively with a wood stove. We also live in a fire prone area.

I described above going through three agents after my insuror departed California.

Each of these was a Farmer's agent, who referred me to another Farmer's agent, before the third one found a two-bit insurance company willing to write a policy on this non-code old farmhouse.

Apparently Farmers allows their agents the independence to represent other insurors as well.

I appreciate that my guy went the extra mile to find coverage.

 

[gsganzer]

I described above going through three agents after my insuror departed California.

Each of these was a Farmer's agent, who referred me to another Farmer's agent, before the third one found a two-bit insurance company willing to write a policy on this non-code old farmhouse.

Apparently Farmers allows their agents the independence to represent other insurors as well.

I appreciate that my guy went the extra mile to find coverage.

Our auto and homeowners is currently with Farmers and has been for 20 years. I hope to heck that my agent has been up front with me all these years.

But when I looked at the auto policy for just my wife and I with a 2008 4runner and a 2017 Honda Pilot, that rate is $5400/year, with no accidents or violations. I know TX rates have been rising a lot, but that seems absurd for a 16yo and 7yo vehicle.

I just sent all of our policies (minus the premiums), to State Farm to see what they come back with.

 

[lsgreg]

Farmers is great for my house, but they cannot beat Progressive on the vehicles.

 

[ruffdog]

We have 2 vehicles (10yo) @ $750/year and homeowners @ $1100/year. No claims or threat of flooding.

 

[TN8Man]

Our property tax is $8000/yr for 6.5 acres, 30 x 40 shop and a 30 x 30 pole barn.

Homeowners insurance is $4650/yr.

Auto, 4 vehicles which includes 2 drivers under 21: $13,400/yr

Health insurance (family of 4): $21,000/yr

I'm $4K/mo, before I've even put food on the table or gas in the tank.

Wow! And I thought SoCal was high cost of living.

 

[TN8Man]

I feel really blessed. I have three vehicles, one driver under 21. He is 15 and is required to pay for his own gas and insurance. Very low cost of living area... Which is the only reason I can bug out at 47.

I retired at 55 and moved to a low cost of living area but over the past few years that cost of living is going up quick. If the rate of change does not slowdown it could eventually get challenging. I just got hit with a unplanned hvac replacement. Its those unplanned high cost events that you have to be prepared for.

 

[TN8Man]

Our auto and homeowners is currently with Farmers and has been for 20 years. I hope to heck that my agent has been up front with me all these years.

But when I looked at the auto policy for just my wife and I with a 2008 4runner and a 2017 Honda Pilot, that rate is $5400/year, with no accidents or violations. I know TX rates have been rising a lot, but that seems absurd for a 16yo and 7yo vehicle.

I just sent all of our policies (minus the premiums), to State Farm to see what they come back with.

$5,400 a year for two autos is very absurd imo, even if they were new autos. I only pay ~$1,400 a year for a 2007 sedan and fairly new truck. My property insurance for 8 acres is ~$1,800.

 

[CloverKnollFarms]

I retired at 55 and moved to a low cost of living area but over the past few years that cost of living is going up quick. If the rate of change does not slowdown it could eventually get challenging. I just got hit with a unplanned hvac replacement. Its those unplanned high cost events that you have to be prepared for.

We save monthly for those large repairs, because I don't see them as unexpected.. things will always break and have a limited life. We have $300 monthly that goes into a home repair fund for that reason, and it's always kept us ahead of large repairs.

 

[TN8Man]

We save monthly for those large repairs, because I don't see them as unexpected.. things will always break and have a limited life. We have $300 monthly that goes into a home repair fund for that reason, and it's always kept us ahead of large repairs.

That's a good plan. We do plan for a roof replacement with a $20k hold and we will probably need to replace it within 5 years. But then if a storm with high winds damages it I will use the homeowners insurance. I'll probably up my home repair/upgrade money hold with everything going on these days. The house is only 17 years old though so the hvac was a surprise.

 

[tradosaurus]

Our property tax is $8000/yr for 6.5 acres, 30 x 40 shop and a 30 x 30 pole barn.

Homeowners insurance is $4650/yr.

Auto, 4 vehicles which includes 2 drivers under 21: $13,400/yr

Health insurance (family of 4): $21,000/yr

I'm $4K/mo, before I've even put food on the table or gas in the tank.

I have 4 vehicles with 2 drivers under 21 and pay $550/mo with Texas Farm Bureau. All vehicles with full coverage. I still think it's too much but I have my homeowners policy with TFB.
I assume you are self-insured with health insurance? I can't imagine that amount. With the fed gov't I pay about $5k/yr.

 

[ultrarunner]

Just got our homeowners insurance. Increase of 25%. Things are getting out of control.

I'm at about $4500/mo in living expenses, just to get out of bed. That's before I've put food on the table or gas in the car.

After taxes it’s insurance at the top of my expenses…

Property Tax may force me out of Washington…

California property and auto insurance is a crap shoot…

 

[tradosaurus]

$5,400 a year for two autos is very absurd imo, even if they were new autos. I only pay ~$1,400 a year for a 2007 sedan and fairly new truck. My property insurance for 8 acres is ~$1,800.

There are so many variables that dictate rates.

Given that what insurance company are you using?

 

[gsganzer]

I have 4 vehicles with 2 drivers under 21 and pay $550/mo with Texas Farm Bureau. All vehicles with full coverage. I still think it's too much but I have my homeowners policy with TFB.
I assume you are self-insured with health insurance? I can't imagine that amount. With the fed gov't I pay about $5k/yr.

This stuff is just wears me out.

I'm diving into the auto insurance right now. If I go to Progressives website and just put my wife and myself with our 2 vehicles, the annual cost is $714. In the current configuration, with the girls in our household, the bill skyrockets us to $5400/yr for those 2 vehicles. The policy for the girls 2 vehicles is an additional $8K/year!

So, my combined auto insurance is $13,400/yr, versus you paying $6,600/yr, also for 4 vehicles with 2 under 21 drivers. I'm trying to dig in and find out what's driving it. Is it Farmers vs. TFB? Our vehicle types (ours are all classified as trucks or SUV's)? Our coverage?

I have a call later today with our insurance guy. One kid moved out, so I'll see what we can do to get things shuffled around. I've also sent all of our policies coverage (with our premium prices removed) to the State Farm rep that handles my business commercial auto policy to see what they come up with. I'm planning to do the same with multiple other insurance providers. From just asking around, it almost seems like I'm paying 2x for auto and homeowners, compared to what others are saying their paying. But it's always difficult to get equal comparisons.

Yes, health insurance is through my LLC and is $1750/mo., United Healthcare Freedom Choice plan. I'm about to look at .gov marketplace to see what options there are.

 

[CloverKnollFarms]

Wow, adding my 15 year old son to our policy was $600/yr. Kid makes $12000 per year at work, so he pays his share. Admittedly we drive modest vehicles.

 

[CloverKnollFarms]

Also, marketplace plans are generally quite affordable if you are ok with a higher deductible. We have had an HDHP for a decade and love it. We have saved so much money. You just have to calculate what your risk tolerance is for a large expense. Our deductible usually runs $3000/yr... Which we consider affordable. Your taxable income makes a big difference... At some point it doesn't pay to make an extra $10k per year, because they will take all of that anyway.

 

[Oaktree]

Try Farmers, they will insure us, but nobody else will. Main reason is because we heat exclusively with a wood stove. We also live in a fire prone area.

I don't even know where the nearest hydrant is, but certainly the better part of a mile away, at least.

We also heat with wood, and State Farm doesn't seem to have a problem with that in the house, though they got a bit testy about the woodstove in my workshop. Not a fire-prone area...especially not as soggy as this summer has been. No hydrants anywhere nearby, but there are a couple rivers they could refill a tanker from.